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- We know the following data of an investment that the company has made:
- An initial disbursement of € 2,000,000 and generates the collections and payments in the successive years of its duration that are shown in the following table:
|
Years |
Collection (€) |
Payments (€) |
|
1 Year 2 Year 3 Year 4 Year |
4.500.000 5.500.000 6.000.000 4.000.000 |
3.800.000 4.500.000 5.000.000 3.200.000 |
Calculate the IRR of the previous project. Justify for what type of discount this investment will be made.
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- We know the following data of an investment that the company has made: An initial disbursement of €2,000,000 and generates the collections and payments in the successive years of its duration that are shown in the following table: Years Collections € Payments € 1 4,500,000 3,800,000 2 5,500,000 4,500,000 3 6,000,000 5,000,000 4 4,000,000 3,200,000 Calculate the IRR of the previous project. Justify for what type of discount this investment will be made.You have been depositing money into an account yearly based on the following investment amounts, rates and times, what is the value of that investment account at the end of that period?Calculate the EAR of the following investment, entered as a percentage (Example: if your answer is 0.145, enter 14.5) Year Number Cashflow 0 -11400 1 3500 2 3000 3 3100 4 2800 Your Answer:
- 1. The return of an investment is given in the following table: Year Balance RM5000 1 RM5375 2 RM5697.50 RM5925.40 (a) Find the effective rate of interest for each of the three years. (b) Find the equivalent level effective rate of return over the three-year period. If a principal of RM7000 is invested at time t = 0, calculate the balance of the (c) investment after 3 years.1. The return of an investment is given in the following table: Year Balance RM5000 1 RM5375 RM5697.50 3. RM5925.40 (a) Find the effective rate of interest for each of the three years. (b) Find the equivalent level effective rate of return over the three-year period. (c) If a principal of RM7000 is invested at time t = 0, calculate the balance of the investment after 3 years.Example (1): You have the following data: Details 12/31/2020 1/1/2020 60000 80000 40000 150000 15000 50000 10000 20000 Fund Assets Debtors Goods Liabilities Creditors and you have available additional information: 1. Additions to the capital amounted to 100,000 dinars . 2. Withdrawals from the capital amounted to 40,000 dinars. Required: Extracting the result of the activity works on 31/12/2020.
- Compute the payback perlod for an Investment with the following net cash flows. (Round your answer to one decimal place.) Net Cash Flows per Year Cumulative Net Cash Flows $ (101,000) $ (101,000) (90,900) (70,800) Year Initial investment 1. 2. 3. 5. 6. Payback period 10,100 20,100 20,100 26,640 40,100 40,100 years (50,700) (24,060) 16,040 56,140(1). Complete the table for an investment subject to n compoundings yearly A=P1+rnnt. Amount Invested Number of Compounding Periods Annual Interest Rate Accumulated Amount Time t in Years $40,000 365 10.2% $100,000 ? Amount Invested Number of Compounding Periods Annual Interest Rate Accumulated Amount Time t in Years $40,000 365 10.2% $100,000 enter your response here (Round to one decimal place as needed.) (2). Prehistoric cave paintings were discovered in a cave in France. The paint contained 39% of the original carbon-14. Use the exponential decay model for carbon-14, A=A0e−0.000121t,to estimate the age of the paintings. Question content area bottom Part 1 The paintings are approximately enter your response here years old. (Round to the nearest integer.) (3). Use the exponential decay model, A=A0ekt, to solve the following. The half-life of a certain substance is…Calculate the following from the information given Fego Ltd:1. Payback Period (expressed in years, months and days).2. Accounting Rate of Return on initial investment (expressed to two decimal places).3. Internal Rate of Return (expressed to two decimal places) if the net cash inflows are R400 000 per year for five years. Your answer must include two net present value calculations (using consecutive rates/percentages) and interpolation.
- Compute the payback period for an investment with the following net cash flows. (Round your answer to one decimal place.) Net Cash Flows Cumulative Net per Year $ (101,000 ) 10,100 20,100 20,100 26,640 40,100 40,100 Cash Flows $ (101,000) (90,900) (70,800) (50,700) (24,060) 16,040 56,140 Year Initial investment 1. 2. 3. 5. 6. Payback period yearsYou have been depositing money into an account yearly based on the following investment amounts, rates and times, what is the value of that investment account at the end of that period? (Click here to see present value and future value tables) Amounts ofInvestment Rate Times Value at the Endof the Period $9,000 20% 16 years $fill in the blank 1 $13,000 15% 11 years $fill in the blank 2 $16,000 12% 6 years $fill in the blank 3 $35,000 10% 4 years $fill in the blank 4For each of the investments below, calculate the rate of return earned over the period. Investment Cash Flow During Period - $300 18,000 с 5,000 D 60 E 1,500 (Click on the icon here in order to copy the contents of the data table above into a spreadsheet.) A B The rate of return on Investment A is %. (Round to two decimal places.) Beginning-of-Period End-of-Period Value Value $2,100 160,000 40,000 300 12,000 $700 113,000 45,000 100 13,200